STM Group Plc (STM.L) and Jambo SRC Limited or "Bidco" said that they reached agreement on the terms of a recommended offer by which Bidco will acquire the entire issued and to be issued ordinary share capital of STM.
As per the terms of the Acquisition, Scheme Shareholders will be entitled to receive 60 pence per share in cash. In addition to the Cash Consideration, Scheme Shareholders will be entitled to receive a Deferred Consideration Unit which may deliver up to 7 pence per share in cash.
The cash consideration values the entire issued and to be issued ordinary share capital of STM at approximately 35.6 million pounds and delivers 60 pence in cash per share, which represents a premium of approximately 118.2 percent to the closing price of 27.5 pence per STM Share on 10 July 2023.
The Maximum acquisition Value, which assumes full value is delivered by the Deferred Consideration Units, values the entire issued and to be issued ordinary share capital of STM at approximately 39.8 million pounds and delivers up to 67 pence in cash per share, which represents a premium of about 144 percent to the closing price of 27.5 pence per STM Share on 10 July 2023.
It is expected that the Scheme will become effective during the first half of 2024.
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